FINAL ACTION ON REGULATIONS 1917 

Title 138 

MARYLAND HIGHE 

DUCATION COMMIS ION 

Subti e 03 FIRE-RESCUE EDUC liON AND 

TRAINING COMMISSI N 

Certification Standar sand Procer Emergency Servi es Instructors 

ducation Article, §§1l-105(u) a d 11·501 - 11-503, 

Annotated Code of Mary d 

,2007. 

JAMES E. LYONS, Sr. 

Se etary of Higher Education 

STATE HIGHER DUCATION 

OR RELATIONS B RD 

Notice of Final Action 

[07-070-FI 

her 27, 2007, the State Higher 

bor Relatio Board adopted amendments to: 

(1) R gulation .01 under COMAR 14.3 01 Definitions; 

(2) 

Direc ; 

(3) Regulation .13 under COMAR 14.30.05 E ctions; 

(4 Regulations .01 - .04 under COMAR 1 .30.07 

Unla Labor Practices; 

) Regulation .01 under COMAR 14.30.09 ColI tive 

Bar aining; 

(6) Regulation .04 under COMAR 14.30.10 Imp sse 

P ocedures; and 

(7) Regulation .22 under COMAR 14.30.11 Hearin s. 

This action, which was proposed for adoption in 34: 

d. R. 710 - 713 (March 30, 2007), has been adopted s 

p posed. 

ective Date: October 22,2007. 

ERICA L. NIPES 

Executiv Director 

State Higher Education Labor ReI ons Board 

STATE HIGHER E CATION 

RELATIONS BARD 

ate: October 22, 2007. 

ERICAL. S 

Executive Dire r 

State Higher Education Labor Relations Boar 

Title 26 

DEPARTMENT OF 

THE ENVIRONMENT 

Subtitle 11 AIR QUALITY 

26.11.17 Nonattainment Provisions for Major 

New Sources and Major Modifications 

Authority: EnvirorunentArticle, HI-IO!, 1·404, 2-101- 2·103, 

2·301- 2-303, 10-102, and 10-103, 

Annotated Code of Maryland 

Notice of Final Action 

[07-laS-FI 

On September 18, 2007, the Secretary of the Environment 

adopted amendments to Regulations .01 - .03, the repeal 

of existing Regulations .04 and .05, and new Regulations 

.04 - .09 under COMAR 26.11.17 Nonattainment Provisions for Major New Sources and Major Modifications. This action, which was proposed for adoption in 34:14 

Md. R. 1311- 1322 (July 6, 2007), has been adopted with 

the nonsubstantive changes shown below. 

Effective Date: October 22, 2007. 

Attorney General's Certification 

In accordance with State Government Article, §10-113, 

Annotated Code of Maryland, the Attorney General certifies 

that the following changes do not differ substantively from 

MARYLAND REGISTER, VOL. 34, ISSUE 21 FRIDAY, OCTOBER 12, 2007 
1918 FINAL ACTION ON REGULATIONS 

the proposed text. The nature of the changes and the basis 

for this conclusion are as follows: 

Regulation .0IB(25)(a) and .04D(1): These changes cor· 

rect typographical errors . 

. 01 Definitions. 

A (proposed text unchanged) 

B. Terms Defined. 

(1) (24) (proposed text unchanged) 

(25) "Replacement unit" means an emissions unit that 

meets all of the following criteria: 

(a) No creditable [[emissions]] emission reductions 

[[is]] are generated by shutting down the existing emissions 

unit that is replaced; 

(b) - (e) (proposed text unchanged) 

(26) - (27) (proposed text unchanged) 

.04 Creating Emission Reduction Credits (ERCs). 

A-G. (proposed text unchanged) 

D. Location of ERGs. 

(1) Generally, ERGs are acceptable if obtained from 

within the same area as the new or modified emissions unit. 

The Department may allow the owner or operator to obtain 

VOG or NOx emission reductions [[in]] from other areas if: 

(a) - (b) (proposed text unchanged) 

(2) (proposed text unchanged) 

E. (proposed text unchanged) 

SHARI T. WILSON 

Secretary of the Environment 

Subtitle 11 AIR QUALITY 

.11.28 Clean Air Interstate Rule 

uthority: Environment Article. §§1·101. 1·404.2·101 - 2· 

2-301-2-303.10·102. and 10-103, 

Annotated Code of Maryland 

Attorney Gene 

In accordance with Sta overnment Article, §10·U3, 

Annotated Code of Mary nd, t Attorney General certifies 

that the following cha es do no differ substantively from 

the proposed text. T nature of t changes and the basis 

for this conclusion e as follows: 

Regulation .05 ) and (2): These 

ties for distribut' n of allowances . 

. 05 Distribut on of NO.., Allowances fr 

Pool. 

A - C. roposed text unchanged) 

D. Pri ity for Distributing Allowances from 

Pool. 

( [[Generally. the Department will consider ·stribut· 

ing llowances from the set aside pool for renewabl 

p" tjects and consumers of electric power]] Unless t De· 

rtment determines that the set aside DOL contains a inSHARI. LSON 

Secretary of the Enviro 

MARYLAND REGISTER, VOL. 34, ISSUE 21 FRIDAY, OCTOBER 12, 2007 
PROPOSED ACTION ON REGULATIONS 1311 

f the Department in Cumberland and Salisbury; all loc 

'r quality control offices; and local health departments 

t se counties not having separate air quality control tfic . /Ii yone needing special accommodations at the p bUc 

hea g should contact the Department's Fair Practic s Office a (410) 537-3964. 'M'Y users may contact the partment rough the Maryland Relay Service at 1-8 0-735-

2258. 

itions. 

unchanged) 

B. Ter Defined. 

(1) - ) (text unchanged) 

(6-1)« arine I)essel" means any tank ship r barge that 

transports I) atile organic compounds (VO ) in bulk as 

cargo. 

(7) - (12) text unchanged) 

(13) "Vapo control system" means piping, hoses, 

equipment, and evices that collect and p ocess gasoline or VOC vapor, usin a vapor processing sys m. (14) (text unc anged) 

.08 Control of C Emissions fr m Marine Vellel 

Loading. 

A. Applicability. 

(1) In Allegany, aroline, Do hester, Garrett, Kent, 

Queen Anne's, St. Ma 's, Somers t, Talbot, Washington, 

Wicomico, or Worcheste counties, e requirements in §B of 

this regulation apply to t transji of VOCs from a stationary storage tank into a rine v ssel if the total emissions 

from all marine I)essell 'ng a the premises during a calendar year are equal to or e ee 50 tons. 

(2) In Baltimore City or ne Arundel, Baltimore, CalI)ert, Carroll, Cecil, Charles, rederick, Harford, Howard, 

Montgomery, or Prince Gear counties, the requirements 

in §B of this regulation app t the transfer of VOCs from a stationary storage tank int a m rine I)essel if the total emissions from all marine I)es lloa 'ng at the premises during a calendar year are equa to or e ed 25 tons. 

(3) The reporting r uirement in §C of this regulation 

apply to all transfers of ny amount VOCs, except fuel oils, 

from a stationary stor e tank into a arine vessel. 

B. General Require nts. 

(1) The transfer f VOCa into a this regulation is p hibited unless: 

(a) The mar e vessel is equipped ith a vapor return 

line; and 

(b) The va or is vented into an ai ollution control 

device that is de onstrated to recover or d troy at least 90 

percent of the c ptured vapor. 

(2) The I) or control system shall be co tructed, operated, and m ntained so that VOC vapur ie ks are minimized durin the transfer of VOCs into a mari e vessel. 

(3) VO s may not be transferred into a rine vessel 

unless the vessel has been leak tested or pres ure tested 

within a past 2 years using the Coast Guard re irements 

at 33 CF. §156.150. 

C. Re ord Keeping Requirements. 

(1) The owner or operator of a premises subjec to this 

regula ion shall record and maintain the following in onna- Uon: 

(a) The date alld time when each marine vessel om· me ed and completed the loading ofVOCs,' 

(b) Identification of the product that was loaded i to 

th marine vessel and the total I)olume loaded; and 

(c) The date when each marine lJes.,el used was leak 

ested or pre$sure tested. 

Subtitle 11 AIR QUALITY 

26.11.17 [Requirements} Nonattainment ProvIsions for Major New Sources and Major Modifications 

Authority; Environment Article, §§1-101, 1·404.2·101 - 2·103. 

2·301- 2·303.10·102. and 10-10S, 

Annotated Code of Maryland 

Notice of Proposed Action 

[07-163·Pl 

The Secretary of the Environment proposes to amend 

Regulations .01 - .03, repeal existing Regulations .04 and 

.05, and adopt new Regulations .04 -.09 under COMAK 

26.11.17 Nonattainment Provisions for Major New 

Sources and Major Modifications. 

Statement of Purpose 

The purpose of this action is to establish requirements for 

the construction of new major sources and major modifications that are compatible with federal requirements. This 

action will be submitted to the U.S. Environmental Protection Agency (EPA) as a revision to Maryland's State Implementation Plan (SIP). 

Background: 

COMAR 26.11.17 establishes requirements for the construction of new major sources and major modifications at 

major sources that apply in ozone nonattainment areas. Because Maryland is in the Ozone Transport Region, the non- attainment New Source Review (NSR) requirements apply 

Statewide. Generaiiy. the regulations require affected sources to install state-or-the-art controls. to limit emissions 

to the lowest achievable emission rate (LAER), and to offset 

emissions by a specific offset ratio depending on the location 

ofthe source. In 2002, the EPA amended its New Source Review provisions and established different procedures to determine emission increases when modifying an existing facility. These regulations were challenged by environmental 

groups and states, including Maryland. The courts upheld 

most of the EPA's new rule, but struck down certain provisions. States are required to establish regulations that are 

equivalent to the EPA's. The requirements for new sources 

remain unchanged. The Department's proposed amendments adopt all the federal definitions and include procedures that are nearly identical to the EPA procedures, except for the period used to calculate a source's emissions 

increase following a modification. Under the EPA's rule, the 

source could use a 24-month period to calculate emissions 

within the past 10 years, while MOE's regulations would allow the source to select the 24-month baseline period from 

the previous 5 years, absent a demonstration that another 

period was more representative of normal operations. 

The amendments also include specific requirements for 

the creation, banking, and transfer of emissions reduction 

credits (ERCs). 

MARYLAND REGISTER, VOL. 34, ISSUE 14 FRIDAY, JULY 6,2007 
1312 PROPOSED ACnON ON REGULATIONS 

Expected Emission Reductions. 

The amendments apply to new or modified sources and 

set forth the criteria for issuing permits to construct in nonattainment areas. The amendments do not affect existing 

unmodified sources and therefore there is no expected emission reduction from existing sources. There is an overall 

benefit to the environment, however, because New Source 

Review requires state-of-the-art pollution controls for new 

and modified sources subject to the rule. 

Sources Affected. 

These amendments apply Statewide and affect new 

sources in the Baltimore/Washington areas that will have 

emissions of 25 tons per year or more of VOC or NO" and new sources in the rest of the state with emissions of 50 

tons per year of VOC or 100 tons per year of NOx ' M~or 

modifications will affect m~or sources that will have emission increases of 40 tons per year or more. 

Comparison to Federal Standards 

In compliance with Executive Order 01.01.1996.03, this 

proposed regulation is more restrictive or stringent than 

corresponding federal standards as follows: (1) Regulation 

citation and manner in which it is more restrictive than the 

applicable federal standard: 40 CFR §51.165 

Regulation .01B(3) defines the term "baseline actual 

emissions". This regulation establishes the procedures used 

to identify a historic emissions baseline from which emission increases are calculated. Whether or not emissions 

have increased is a major factor in determining whether or 

not this regulation applies to a proposed modification of an existing facility. If an emission increase is significant, this 

regulation would require use of state-of-the-art controls and 

costly offsets. The federal rule permits calculation of the 

baseline emissions using a 24-month period that occurred 

up to 10 years ago. It is the Department's position that the 

older baseline emissions would not necessarily be representative of more current emissions and we question the accuracy of emissions that are based on data and records that 

are up to 10 years old. 

The Department's regulations allow a source to choose a 

baseline emissions period from emission records up to 5 

years old. For affected facilities, the MuE behaves that a 5 

year look back of emissions would best represent normal or 

typical emissions and would be more accurate. The Department's selected 5-year period is also consistent with the duration of the facility's operating permit and its 5-year reporting requirement. 

Allowing a facility to choose an emissions baseline from 

an earlier period could mean that a facility would not be 

subject to New Source Review even though it proposes a significant modification and increase in emissions. . 

(2) Benefit to the public health, safety or welfare, or 

the environment: The Department's use of a 5-year period 

from which to select a baseline emissions figure is beneficial 

to the environment and to public health because a greater 

number of modifications will be subject to the restrictive requirements in this regulation. Although nearly all proposed 

increases of emissions would be subject to some existing 

regulation under COMAR, this regulation would require 

state-of-the-art controls and emissions offsets of up to 130 

percent of the new emissions. 

(3, Analysis of additional burden or cost on the regulated person: These amendments will not increase the cost 

of compliance. Recent changes to the federal NSR program 

made the federal rule less stringent. Maryland, however, is 

proposing changes to its current NSR program that incorporate some but not all of the federal changes. This makes the 

Maryland regulations more stringent than the federal rule. 

The amendments do not change the substantive portions 

of the regulations that require state-of-the-art controls and 

offsets based on Maryland's fully approved I-hour Ozone 

State Implementation Plan. As with the existing regulations, the cost of compliance varies depending upon the size 

of the source, control costs, and the cost of offsets. The number of new sources and modifications to existing sources in 

Maryland is not presently known. . (4) Justification for the need for more restrictive standards: The Department, over the years, has regulated 

nearly aU existing emission sources that contribute to the 

pollutants that cause Maryland to fail to meet the federal 

health related ambient air quality standards for ozone. In 

order for Maryland to show progress in meeting the standards, we must continue to require state-of-the-art pollution 

controls on new large facilities and modifications of existing 

facilities. 

Additionally, nitrogen oxides (NO.), which would be subject to pollution control measures under these regulations, 

is a precursor to the formation of ozone. It is also a contributor to the State's nonattainment status for the federal fine 

particulates ambient standard. The EPA has already set 

2010 attainment dates for Maryland to meet the ambient 

standards for both ozone and fine particulates. 

Estimate of Economic Impact 

The proposed action has no economic impact. 

Economic Impact on Small Businesses 

The proposed action has minimal or no economic impact 

on small businesses. 

Impact on Individuals with Disabilities 

The proposed action has no impact on individuals with 

disabilities. 

Opportunity for Public Comment 

The Department of the Environment will hold a public 

hearing on the proposed action on August 8, 2007 at 10 a.m. 

at the Department of the Environment, 1800 Washington 

Boulevard, 1st Fluor Aeris Conference Room, Baltimore, 

Maryland 21230-1720. Interested persons are invited to attend and express their views. Comments may be sent to 

Deborah Rabin, Regulations Coordinator, Air and Radiation 

Management Administration, Department of the Environment, 1800 Washington Boulevard, Suite 730, Baltimore, 

Maryland 21230-1720. Comments may also be faxed to 

Deborah Rabin at 410-537-4223 or submitted via e-mail to 

drabin@mde.state.md.us. Comments must be received not 

later than August 8, 2007 or be submitted at the hearing. 

For more information, call Deborah Rabin at (410) 537-

3240. 

Copies of the proposed action and supporting documents 

are available for review at the following locations: The Air 

and Radiation Management Administration; regional offices 

of the Department in Cumberland and Salisbury; all local 

air quality control offices; and local health departments in 

those counties not having separate air quality control offices. 

Anyone needing special accommodations at the public 

hearing should contact the Department's Fair Practices Office at 410-537-3964. TrY users may contact the Department through the Maryland Relay Service at 1-800-735-

2258. 

MARYLAND REGISTER, VOL. 34,ISSUE 14 FRIDAY, JULY 6, 2007 

1 

) 
PROPOSED ACTION ON REGULATIONS 1313 

.01 Definitions. 

A. (text unchanged) 

B. Terms Defined. 

(1) Actual Emissions. 

(a) "Actual emissions~ means: 

(i) The actual rate of emissions of a regulated NSR 

pollutant from an emissions unit as determined in accordance with this subsection; 

(ii) In general, as of a particular date, the average 

rate in tons per year at which the unit actually emitted the 

pollutant during a [2-year] consecutiue 24-month period, 

which precedes the particular date and which is representative of normal source operation, although the Department 

may allow the use of a different time period upon a determination that it is more representative of normal source operation; and 

(iii) (text unchanged) 

(h) - (c) (text unchanged) 

(2) (text unchanged) 

(3) Baseline Actual Emissions. 

(a) "Baseline actual emissions" means the rate of 

emissions, in tons per year, of a regulated NSR pollutant. 

(b) For an existing electric utility steam generating 

unit, "baseline actual emissions" is determined by the auer- age rate, in tons per year; at which the unit actually emitted 

the pollutant during any consecutive 24-month period se- lected by the owner or operator within the 5 year period immediately preceding the date on which a complete application was submitted. The Department may approve a different period upon a demonstration that it is more representatiue of normal source operations. 

(c) For an existing emissions unit, other than an electric utility steam generating unit, "baseline actual emissions" is determined by the auerage rate, in tons per year; at 

which the emissions unit actually emitted the pollutant during any consecutive 24-month period selected by the owner or operator within the 5·year period immediately preceding the 

date on which a complete application was submitted. The 

Department may allow a different 24·month consecutiue 

time period, within the last 10 years, upon a demonstration 

that it is more representatiue of normal source operations. 

(d) For a new emissions unit, the baseline actual 

emissions for purposes of determining the emissions increase 

that will result from the initial construction and operation of 

the unit shall equal zero, and, thereafter, for all other purposes, shall equal the unit's potential to emit. 

(e) For a PAL (or a major stationary source, the baseline actual emissions shall be calculated, for existing electric 

utility steam generating units, in accordance with the procedures contained in §B(3)(b) of this regulation, for other existing emissions units in accordance with the procedures con- tained in §B(3)(c) of this regulation, and for a new emissions 

unit. in accordance with the procedures contained in 

§B(3)(d) of this regulation. 

(fJ In General. 

(i) The auerage rate of emissions shall include fugitiue emissions to the extent quantifiable, and emissions asso- ciated with start-ups, shutdowns, and malfunctions. 

(ii) The auerage rate shall be adjusted downward 

to exclude any noncompliant emissions that occurred while 

the source was operating aboue any emissions limitation that was legally enforceable during the consecutiue 24·month period. Howeuer, if all emission limitation is part of a proposed 

or promulgated maximum achievable control technology 

standard under 40 CFR Part 63, the baseline actual emis· 

sions need only be adjusted if credit for the emissions reductions was taken in an attainment demonstration or mainte· nance plan. 

(iii) When a project involues multiple emissions 

units or different regulated NSR pollutants, only one consecutiue 24-month period shall be used to determine the 

baseline actual emissions for the emissions units being 

changed. 

(iu) The auerage rate may not be based on any consecutiue 24-month period for which there is inadequate information for determining annual emissions and adjusting 

the amount if required. 

(4) (text unchanged) 

(3)] (5) Best Available Control Technology. 

(a) "Best availahle control technology" means an emissions limitation, including a visible (emission] emissions standard, based on the maximum degree of reduction 

for each regulated NSR pollutant [subject to regulation under the Clean Air Act] which would be emitted from any proposed major stationary source or major modification which 

the Department, on a case-by-case hasis, taking into ac- count energy, environmental, and economic impacts and 

other costs, determines is achievable for that source or modification through application of production processes or availahle methods, systems, and techniques, including fuel 

cleaning or treatment or innovative fuel comhination techniques for control of the pollutant. 

(h) - (c) (text unchanged) 

[(5)] (6) Building, Structure, Facility, or Installation. 

(a) "Building, structure, facility, or installation" 

means[: 

(i) All] all of the pollutant-emitting activities that 

he long to the same industrial group that are located on one or more contiguous or adjacent properties, and are under 

the control of the same person, or persons under common control(; or 

(ii) Activities on the outer continental shelf to the 

extent required hy and consistent with the terms defined in 

§328 of the 1990 Clean Air Act]. 

(b) (text unchanged) 

[(6)] (7) (text unchanged) 

[(7)] (8) "Colll!truction" means any physicai change or change in the method of operation, including fahrication, 

erection, installation, demolition, or modification of an emissions unit, which would result in a change in [actual] 

emissions. 

(9) "Electric utility steam generating unit" means any 

steam electric generating unit that is constructed for the purpose of supplying more than I/:J of its potential electric output capacity and more than 25 megawatts electric output to 

any utility power distribution system for sale. Any steam 

sltpplied to a steam distribution system for the purpose of 

prouiding steam to a steam electric generator that would 

produce electrical energy for sale is also considered in determining the electrical energy output capacity of the atfected 

facility. 

(10) Emi8.~ions Reduction Credit (ERC). 

(a) "Emissions reduction credit (ERC)" means a permanent, enforceable, quantifUlble reduction in actual emis· sion.~, occurring on or after January 1, 2003. which is sur· plus to all applicable State and federally enforceable 

requirements to be used to offset emi.~sion increases. 

(b) "Emissions reduction credit (ERC),' does not con- stitute a security or other form of property. 

MARYLAND REGISTER, VOL. 34, ISSUE 14 FRIDAY, JULY 6, 2007 
1314 PROPOSED ACTION ON REGULATIONS 

[(8)] (11) "Emissions unit" means any part of a stationary source which emits, or would have the potential to emit, 

[YOC, NO", or carbon monoxide] a regulated NSR pollutant. 

(12) "Existing emissions unit" means an emissions unit 

that does not meet the requirement in §B(20) of this regulation. 

[(9)] (13) "Federally enforceable" means all limitations 

and conditions which are enforceable by the U.S. Environmental Protection Agency (EPA), including those requirements developed pursuant to 40 CFR 60 and 61, requirements within the SIP, any permit requirements established 

pursuant to 40 CFR §52.21 or under regulations approved 

pursuant to 40 CFR Part 51, Subpart I, including operating 

permits issued under a program that is approved by EPA 

[under Title V of the Clean Air Act] or that is incorporated 

into the Maryland SIP and expressly requires adherence to 

any permit issued under the program. 

[(10)] (14) (text unchanged) 

[(11)] (15) Lowest Achievable Emission Rate. 

(a) "Lowest achievable emission rate" means, for any 

[source] emissions unit, the more stringent rate of emissions based on the following: 

(i) The most stringent emissions limitation which 

is contained in the implementation plan of any state for [a] 

the class or category of stationary source, unless the owner or operator of the proposed stationary source demonstrates 

that these limitations are not achievable; or (ii) The most stringent emissions limitation which 

is achieved in practice by [a] the class or category of stationary sources, with this limitation, when applied to a modification, meaning the lowest achievable emissions rate for the new or modified emissions units within the stationary 

source. (b) The application of this definition does not permit a proposed new or modified [stationary source] emissions 

unit to emit any pollutant in excess of the amount allowable 

under 40 CFR 60. 

[(12)] (16) Major Modification. 

(a) "Major modification" means any physical change 

in, or change in the method of operation of, a major stationary source that would result in a signi{i.CUill emissions in.- crease and a significant net emissions increase of [YOC, NO~, or carbon monoxide] any regulated NSR pollutant. 

(b) Any significant emissions increase from any emissions unit or net emissions increase at a major stationary 

source that is considered significant for volatile organic 

compounds or NO" is considered significant for ozone. (c) A physical change in or a change in the method of 

operation does not include: 

(i) - (vi) (text unchanged) 

(vii) Any change in ownership [of a stationary 

source). 

(d) This definition does not apply with respect to a 

particular regulated NSR pollutant when the major stationary source is complying with the requirements for a PAL. 

[(13)] (17) Major Stationary Source. 

(a) "Major stationary source" means any stationary 

source of air pollution which emits or has the potential to 

emit 100 tons or more of any regulated NSR pollutant, except that lower emissions thresholds apply as follows: 

(j) - (iil (text unchanged) 

[mil 100 tons or more per year of NO. for sources located in Allegany, Caroline, Dorchester, Garrett, Kent, 

Queen Anne's, St. Mary's, Somerset, Talbot, Washington, 

Wicomico, or Worcester counties; or 

(iv) 100 tons or more per year of carbon monoxide 

for sources located in the areas designated as non attainment for carbon monoxide in 40 CFR §81.321, 1991 edition, as amended on page 56733 of the Federal Register, Vol. 56, 

No. 215, dated November 6, 1991.) 

(iii) 50 tons or more per year of carbon monoxide in 

any serious nonattainment area for carbon monoxide, where 

stationary sources contribute significantly to carbon monoxide levels in the area; and 

(iv) 70 tons or more per year of PMlO in any serious 

nonattainment area for PM 10' 

(b) "Major etationary source~ also means any physical change that would occur at a stationary source not qualifying under [§B(13)(a)] §B(17)(a) of this regulation as a major stationary source, if the change would constitute a major 

stationary source by itself. 

(c) (text unchanged) 

(d) In determining if a source is a major stationary source [or if a modification is a major modification], fugitive 

emissions shall be included if the source belongs to one of the 

categories of stationary sources listed in 40 CFR 

§51.165(a)(1)(iv)(C) [to the extent quantifiable, as determined by the Department, for sources located in: 

(i) Baltimore City or Anne Arundel. Baltimore, 

Calvert, Carroll, Cecil, Charles, Frederick, Harford, 

Howard, Montgomery, or Prince George's counties; and 

(ii) In the rest of the State, consistent with the re- quirements in 40 CFR 51, Appendix 51. 

[(14)] (18) (text unchanged) 

[(5)] (19) Net Emissions Increase. 

(a) "Net emissions increase" means, with respect to a regulated NSR pollutant emitted by a major stationary 

source, the amount by which the sum of the following ex- ceeds zero: (i) Any increase in [actual] emissions [of a particular pollutant] from a particular physical change or change 

in the method of operation at a stationary source; and 

(ii) Any other increases and decreases in actual 

emissions of the particular pollutant [at the source since 

January 1, 1991,] that are contemporaneous with the particular change and are otherwise creditable. 

(b) Baseline actual emissions for calculating in- creases and decreases under this definition shall be determined as provided in §B(3) of this regulation, except that 

§B(3)(c) does not apply. 

[(b)] (c) [In determining whether an increase or de- crease in actual emissions of a particular pollutant is contemporaneous with the increase from the particular change, 

the full 5-year period preceding the date on which a com- plete permit application for the change is submitted shall be 

used. This 5-year period is not to precede January 1, 1991.] 

An increase or decrease in actual emissions of a particular 

pollutant is contemporaneous with the increase from the particular change if it occurs within the 5-year period preceding 

the date on which a complete permit application for the 

change is submitted and before the date that the increase 

from the particular change occurs. . 

[(c)] (d) An increase or decrease in actual emissions 

is creditable only if the Department has not relied on it in 

issuing a permit for the source and the permit is in effect 

when the [change] increase in actual emissions from the 

particular change occurs. 

I

(d)] (e) (text unchanged) 

(e 1] (fJ A decrease in actual emissions is creditable 

only to the extent that: 

(j) (text unchanged) 

MARYLAND REGISTER, VOL 34, ISSUE 14 FRIDAY, JULY 6. 2007 

I 
PROPOSED ACTION ON REGULATIONS 1315 

(ii) The decrease is [federally] enforceable in a 

practicable manner at and after the time that the actual 

construction on the particular change begins; 

(iii) The Department has not previously relied on 

the decrease in issuing any permit [pursuant to] under this 

chapter or in demonstrating attainment or reasonable further progress in the SIP and it is not required by any other 

State [or federal] requirement; and 

(iv) (text unchanged) 

[Cfl1 (g) An increase that results from a physical 

change [at a source1 occurs when the emissions unit on which construction occurred becomes operational and begins to emit a particular pollutant. Any replacement unit 

that requires shakedown becomes operational only after a reasonable shakedown period, not to exceed 180 days. 

(20) "New emissions unit" means an emission's unit 

which is or will be newly constructed and which has existed 

for less than 2 years from the date the emissions unit first 

operated. 

[(16)] (2lJ (text unchanged) 

(22) "Project" means a physical change in, or change in 

the method of operation of, an existing major stationary source. (23) Projected Actual Emissions. 

(a) "Projected actual emissions" means the maximum 

annual rate, in tons per year, at which an existing emissions 

unit is projected to emit a regulated NSR pollutant in any one of the 5 years following the date the unit resumes regular 

operation after the project, or in anyone of the 10 years following that date, if: 

(i) The project involves increasing the emissions 

unit's design capacity or its potential to emit the regulated 

NSR pollutant; and 

(ii) Full utilization of the unit would result in a signi{u:ant emissions increase or Ii significant net emissions in- crease at the major stationary source. (b) In determining the projected actual emissions before beginning actual construction, the owner or operator of 

the major stationary source shall: 

(i) Consider all relevant information including historical operational data, the company's own representations, 

the company's expected business actiuity, the company's 

highest projections of business activity, the company's filings 

with the State or EPA, and compliance plans under the approved plan; 

(ii) Include fugitive emissions to the extent quanti-

(r.able and emissions associated with start-ups, shutdowns, 

and malfunctions; and 

(iii) Exclude, in calculating any increase in emissions that results from the particular project, that portion of 

the emissions unit's emissions following the project that an 

existing unit could have accommodated during the consecu- tive 24-month period used to establish the baseline actual 

emissiOlls and that are also unrelated to the particular 

project, including any increased utilization due to product 

demand growth. 

(c) In lieu of using the method set out in §B(2.1)(b) of 

this definition, a person may elect to use the emissions unit's 

potential to emit, in tons per year. 

(24) "Regulated NSR pollutant" means any pollutant 

for which a national ambient air quality standard has been 

promulgated and any pollutant that is a constituent or pre- cursor of the pollutant for which there is an ambient air 

quality standard, provided that the constituent or precursor 

may only be regulated under this chapter as part of regulation of the pollutant. 

(25) "Replacement unit" means an emissions unit that 

meets all of the following criteria: 

(a) No creditable emissions reductions is generated by 

shutting down the existing emissions unit that is replaced; 

(b) The emissions unit is a reconstructed unit within 

the meaning of 40 CFR §60.15(b)(I) or the emissions unit 

completely takes the place of an existing emissions unit; 

(c) The emissions unit is identical to or functionally 

equivalent to the replaced emissions unit; 

(d) The replaced unit does not alter the basic design 

parameters of the existing emissions unit; and 

(e) The replaced emissions unit is permanently removed from the major stationary source or otherwise permanently disabled or barred from operation by a permit that is 

enforceable as a practicable matter. 

[(17)] (26) "Significant" meaQl!, in reference to a net 

emissions increase, a significant emissions increase or the 

potential of a source to emit [any of the pollutants listed 

below1 a regulated NSR pollutant, or a rate of emissions 

that would equal or exceed any of the following rates: 

(a) For VOC or NO,,; 

[pOLLUTANT EMISSION 

RATE 

VOC or NO" 25 ton/yr 

VOCorNO" 40 ton/yr 

CO 100 tonlyr 

LOCATION OF SOURCE 

Baltimore City or Anne 

Arundel, Baltimore. Calvert, Carroll, Cecil, 

Charles, Frederick, Harford, Howard, Montgomery, or Prince George's counties 

Allegany, Caroline, 

Dorchester, Garrett, Kent, 

Queen Anne's, St. Mary's, 

Somerset. Talbot, Washington, Wicomico, or Worcester 

counties 

In carbon monoxide nonattainment areas as specified 

in Regulation .01B(13) of 

this chapter.] 

(i) 25 tons/ year in Baltimore City or Anne Arundel, 

Baltimore, Calvert, Carroll, Cecil, Chrzries, Frederick, Harford, Howard, Montgomery, or Prince George's counties; or 

(iO 40 tons/year in Allegany, Caroline, Dorchester, 

Garrett, Kent, Queen Anne's, St. Mary's, Somerset, Talbot, 

Washington, Wicomico, and Worcester counties. 

(b) For all other regulated NSR pollutants: 

(i) Carbon monoxide - 100 tons per year; 

(ii) Sulfur dioxide - 40 tons per year; 

(iii) Lead - 0.6 tOilS per year; and 

(iv) PM 10 - 15 tons per year. 

[( 18)] (27) "Stationary source" means any building, 

structure, facility, or installation which emits or may emit 

any [air] regulated NSR pollutant subject to this chapter. 

.02 Applicability. 

A. This chapter applies Statewide to: 

[( 1) Major stationary sources of VOC and major stationary sources of NO,,; and 

(2) Major modifications at major stationary sources of 

VOC or NO".] 

(1) New major stationary sources and major modifications that are major for VOC or NO",; 

(2) Any new major stationary source or major modification at a major stationary source that is major for a pollutant for which the area is designated nonattainment under 

§107(d)(1)(A)W of the Clean Air Act (42 U.S.c. §7407); and 

MARYLAND REGISTER, VOL. 34, ISSUE 14 FRIDAY, JULY 6, 2001 
1316 PROPOSED ACTION ON REGULATIONS 

(3) Major stationary sources and major modiru:ations 

that are major for VOC or NO" located in the Ozone 7ransport Region. 

B. [This chapter applies to major stationary sources of 

carbon monoxide and to major modifications at major stationary sources of carbon monoxide that are located in the 

carbon monoxide nonattainment area referenced in Regulation .0IB(13) of this chapter.] A person may apply for and 

obtain a permit to construct a new major stationary source or a major modification at an existing major stationary 

source in an area designated as nonattainment for a particular pollutant ot; as applicable, within the Ozone 7ransport 

Region. if all of the provisions in this chapter are met. 

C. (text unchanged) 

D. Major stationary sources [of VOC or NOx] that are located in ozone or NO" attainment areas may also be subject 

to the Prevention of Significant Deterioration requirements 

in COMAR 26.11.06.14. 

E. (text unchanged) 

[F. The requirements of COMAR 26.11.06.11, regarding new sources impacting in nonattainment areas, as that 

regulation existed on November 14, 1992, apply to any source for which the Department received an application by 

November 15, 1992, which the Department determined is 

complete for aU necessary permits to construct and approvals required by this subtitle and for which the applicant, as 

determined by the Department, diligently pursued those 

permits and approvals afl;er November 15, 1992.] 

F. Major Modification. 

(1) A project is a major modification for a regulated 

NSR pollutant if it causes a significant emissions increase 

and a significant net emissions increase. The project is not a major modification if it does not cause a significant emissions increase. If the project causes a significant emissions 

increase, then the project is a major modification only if it 

also results in a significant net emissions increase. 

(2) Applicability Tests. 

(a) Actual-to-Projected-Actual Applicability Test for 

Projects That Involve Only Existing Emissions Units. A significant emissions increase of a regulated NSR pollutant is . projected to occur if the sum of the difference between the 

projected actual emissions and the baseline ucilHJ.1 emissions, for each existing emissions unit, equals or exceeds the 

signifu:ant amount for that pollutant. 

Pollutant 

S02 

PMIO 

NOz CO 

Annual 

1.0pglm3 

1.01t.glm3 

1.0 pglm·1 

24 

5.0pglm3 

5.0 pglm3 

(3) A proposed major source or major modiru:ation subject to §I(2) of this regulation may reduce the impact of its 

emissions upon air quality by obtaining sufficient emission 

reductions to, at a minimum, compensate for its adverse ambient impact where the major source or major modifu:ation 

would otherwise cause or contribute to a violation of any 

NAAQS. 

.03 General Conditions. 

A. A person who proposes to construct or modify an [installation or source] emis.~ions unit subject to this chapter 

may not commence construction of the [installation or 

(b) Actual-to-Potential Test for Projects That Involve 

Only Construction of a New Emissions Unit or Units. A significant emissions increase of a regulated NSR pollutant is 

projected to occur if the sum of the difference between the potential to emit from each new emissions unit following 

completion of the project and the baseline actual emissions of 

these units before the project, equals or exceeds the significant amount for that pollutant. 

(c) Hybrid Test for Projects That Involve MUltiple 

TYpes of Emissions Units. A significant emissions increase of 

a regulated NSR pollutant is projected to occur if the sum of 

the emissions increases for each emissions unit, using the 

method specified in §F(2)(a) and (b) of this regulation, as applicable, with respect to each emissions unit, for each type of 

emissions unit, equals or exceeds the significant amount for 

that pollutant. 

G. At the time when a particular stationary source or modification becomes a major stationary source or major 

modification solely by virtue of a relaxation in any enforcement limitation which was established after August 7, 1980, on the capacity of the source or modification otherwise to 

emit a pollutant, such as a restriction on hours of operation, 

then the requirements of this chapter apply to the source or modification as though construction had not yet commenced on the spurce or modification. 

H. Any major stationary source with a PAL for a regulated NSR pollutant shall comply with the requirements of 

Regulations.07 - .09 of this chapter. 

1. Preconstruction Permit Program In Attainment Areas. 

(1) The preconstruction permit program requirements 

also apply to any proposed major stationary source and to 

any major modiru:ation to the source in an area designated as attainment or unclassifiable for any National Ambient 

Air Quality Standard (NAAQS) pursuant to §107 of the 

Clean Air Act (42 U.S.C. 7407) when it would cause or con- tribute to a uiolation of a NAAQS. 

(2) A major source or major modification is considered 

to cause or contribute to a violation of a NAAQS when the source or modiru:ation would, at a minimum, exceed the following signiru:ance levels at any locality that does not or would not meet the applicable national standard: 

Averaging Time (hours) 

8 3 1 

25 p,glm3 

source] emissions unit without first obtaining all permits 

and approvals required under this subtitle. 

B. The Department shall deny a permit or approval to a 

person who proposes to construct a new major stationary 

source or major modification to a major stationary source 

unless the following conditions are met: 

(1) (text unchanged) 

(2) The proposed new major stationary source or major 

modification will meet an emission limitation which specifies the lowest achievable emissions rate [for the source]; 

MARYLAND REGISTER, VOL. 34, ISSUE 14 FRIDAY, JULY 6, 2007 
PROPOSED ACTION ON REGULATIONS 1317 

(3) [The applicant has met the reasonable fu~ther 

progress requirements in § 173(a)(1)(A) of the Clean Air Act 

by obtaining emission reductions (offsets) of the same pollutant from existing sources in the area of the proposed 

source, whether or not under the same ownership, in accordance with the following ratios, at a minimum:] More than 

equivalent emission offsets from existing sources in the area 

impacted by the proposed new major stationary source or 

major modification (whether or not under the same ownership) are required so that there will be reasonable further 

progress toward attainment of the applica~le standard: for 

sources locating in the Ozone Transport Re/pon, the offset ratios for VOC and NO shall equal or exceed the following: 

(a) 1.3 to 1 for ""sources of VOC or NOx in Baltimore 

City, or Anne Arundel, Baltimore, Calvert, Carroll, Cecil, 

Charles, Frederick. Harford, Howard, Montgomery. or Prince George's counties[,]; and 

(b) 1.15 to 1 for sources of VOC or NOx in Allegany, 

Caroline, Dorchester, Garrett, Kent, Queen Anne's, Somerset, St. Mary's, Talbot, Washington, Wicomico, or Worcester 

counties[, and 

(c) 1.1 to 1 for sources of CO in CO non attainment 

areas specified in Regulation .OIB(17) of this chapter]; 

(4) The emission offsets will provide a positive net air 

quality benefit in the affected area, although for sources of 

VOC or NO atmospheric simulation modeling is not necessary for VoC and NO" and fulfillment of.§B(3) 0n:his regulation is considered adequate to meet th18 condition; [and] 

(5) The emission offsets for the major source or major 

modification shall be federally enforceable before [the permit to construct or approval is issued.] construction is com- menced; 

(6) An analysis of alternative sites, sizes, production 

processes, and environmental control techniques for a proposed source demonstrates that benefits of the proposed 

source significantly outweigh the environmental and social 

costs imposed as a result of its location, construction, or modification[.] ; and 

(7) The total tonnage of increased emissions, in tons per 

year, resulting from a major modification that is to b~ offset 

is the sum of the difference between the allowable emlssums 

after the modification and the actual emissions before the 

modification for each emissions unit. 

C. [The requirements of §B(2) of this regulation (LAER . 

requirements) apply to the installation that causes emissions to exceed the level that triggers the requirements of 

this chapter.) For phased construction projects, the determination of the lowest achievable emission rate shall be reviewed and modified, as appropriate, at the latest reasonable time which occurs not later than 18 months before 

commencement of construction of each independent phase 

of the project. At that time, the owner or operator of the applicable stationary source may be required to demonstrate 

the adequacy of any previous determination of the lowest 

achievable emission rate for the source. 

D. [Notwithstanding any of the provisions of this chapter, the requirements of the Clean Air Act, §182(c){7) and 

(8) as amended in 1990, apply in Baltimore City and the 

co~nties of Anne Arundel, Baltimore, Calvert, Carroll, Cecil, 

Charles. Frederick, Harford, Howard, Montgomery, and 

Prince George's.) Approual to constru.ct does not relieve an 

owner or operator of the re.,ponsibility to comply fully with 

any other requirement under local, State, or federal law. 

E. If an existing emissions unit at a major stationary 

source is modified and causes an increase in emissions that 

may be significant and the modification is not part of a major modification at the source: . 

(J) A permit is required in accordance wlth COMAR 

26.11.02 and the Department will establish permit conditions that prevent the emissions from becoming significant; 

and . (2) The source is also subject to the annual reportmg requirements in COMAR 26.11.01.05-1 that require a report of 

emissions for each emissions unit for each ye~lI: . . F. If the emissions from the modified emlsslons umt become significant, the provisions in this chapter apply retroactive to the date the modification occurred. 

.04 Creating Emission Reduction Credits (~RC~): 

A. An emissions unit that emits NO" or VOC IS eltg£ble to 

create an ERC if: 

(1) The unit was in operation any time during calelldar 

year 2002 or later, and emissions from the unit were ~ncluded in the current inventory for the State Implementation 

Plan for the pollutant; 

(2) The Department did not rely on the emission reduction in issuing a permit under an approved regulation; and 

(3) The Department has not relied on the emission reduction in demonstrating attainment or reasonable further 

progress. 

B. An ERC may be created by: 

(1) Controlling emissions below the emission levels re· 

quired by applicable State and federal requirements and the 

State Implementation Plan through a federally enforceable 

permit limit; . .. (2) Curtailing operations and reducmg em/SSlOns 

through a federally enforceable permit condition; or 

(3) Permanently discontinuing the operation of one or 

more emissions units at a source. 

C. Quantification and use of ERCs. 

(1) ERCs shall be based on a reduction of the source's 

actual emissions as that term is defined in Reg141ation .01 of 

this chapter. 

(2) The Department shall credit an emissions unit. w~th 

emission reductions achieved by shutting down an eXlstmg 

emissions unit or permanently curtailing production or operating hours if the reductions are permanent, quantifiable. 

and federally enforceable. In addition, the shutdown or curtailment is creditable ollly if it occurred on or after January 

1, 2003, and if the reduction is not necessary to meet any 

other State or federal requirement. 

(3) Creditable emission reductions that qualify as ERCs 

may be used to satisfy the requirement to provide offsets under this chapter and shall total at least 5 tons per year of 

VOC or NO". 

(4) If a new regulation is adopted that applies to an 

emissions unit that created ERCs, the ERCs shall be reduced 

by an amount equal to the reduction that would have been 

required before the ERCs were created. 

(5) Emission reduction credits shall be enforceable by 

the Department and the EPA and shall be obtained by the 

date the new emissions unit commences construction. 

(6) The reduction of emissions from an emissions unit 

that provides emission reduction credits shall occur before 

the date when the new or modified emissions unit becomes 

operational. 

D. Location of ERCs. 

(J) Generally, ERCs are acceptable if obtained from 

within the same area as the new or modified emissions unit. 

The Department may allow the owner or operator to obtain 

VOC or NO. emission reductions in other areas if: 

MARYLAND REGISTER, VOL. 34,ISSUE 14 FRIDAY, JULY 6,2007 
1318 PROPOSED ACTION ON REGULATIONS 

(a) The other area has an equal or higher nonattainment classification than the area in which the emissions unit 

is located; and 

(b) Emissions of the particular poilutant from the 

other area have been demonstrated to contribute to a violation of the National Ambient Air Quality Standard in the 

area in which the new emissions unit is located. 

(2) The Department shall give preference to ERCs from 

emissions units located as close to the proposed emissions 

unit site as possible. 

E. Exclusions and Limitations. 

(1) ERCs shall expire as follows: 

(a) For emissions units discontinuing operation before January 1, 2002, the ERCs expire January 1, 2012; and 

(b) For emissions units discontinuing operation on or after January 1,2002, the ERCs expire January 1, 2012, or 10 years after the discontinued operation, whichever is later. 

(2) The expiration dates in §E(1) of this regulation do 

not apply if the ERCs are committed to a new or modified 

emissions unit through a permit to construct that has an en- forceable contract to transfer the ERCs to the owner or operator of a new or modified emissions unit. 

(3) An ERC may not be used to meet BACT, LAER, 

NSPS, RAeT, allowance based programs, or any other emis· 

sion limitation under the Clean Air Act. 

.051n(ormGtion on Emission Reductions and Certifi· 

cation. 

A A person who creates an emission reduction for use as an ERC shall submit the following information to the De· 

partment: 

(1) A description of the equipment or process that re- sulted in a reduction in actual emissions, including any air 

pollution control devices serving that equipment or process; 

(2) The actual emissions occurring when the equipment or process operated in compliance with all applicable requirements during the selected 24·month period; 

(3) Identification of all regulations or other requirements that apply to the equipment or process and a demonstration of compliance with those requirements; 

(4) Identification of the method used to reduce actual 

emissions and calc!Llations showing the emission reductions 

achieved; and 

(5) The date or dates on which the reduction in emissions occurred. 

B. ERCs may not be used until they are certified. 

C. ERCs shall be certified as follows: 

(1) Information on emission reductions submitted by 

the person who owns or operates the emissions units creating 

the ERCs shall be verified by the Department based on re- view of information in the Department's files including the 

sOltrce's emission certification reports, stack tests, inspection 

reports, and other information relating to emissions and 

compliance with applicable requirements; 

(2) A site inspection may be made to verify the shut· 

down or other method used to create the ERCs. 

.06 Transferring EmiBBion Reduction Credits. 

A. An ERC may be transferred to the control of another 

person after it is certified and becomeslederally enforceable. 

B. A person may not use an ERC in a manner that causes a uiolation of any applicable federal or State emission standard or reqUtrement. 

C. ERCs may not be transferred to a third party or used 

for any other purpose except as offsets through a federally 

enforceable permit to construct. 

D. A source located in Maryland may use an ERC created 

by a source located in another State if: 

(1) The emission reduction is certified by the state in 

which it is created; 

(2) The conditions of the transfer are enforceable by the 

other state and the EPA; and 

(3) All of the requirements in this chapter are met. 

.01 Plantwide Applicability Limit (PAL) - GeneraL 

A. Applicability. 

(1) The Department may approve the use of a PAL for 

any existing major stationary source if the requirements in 

this regulation are met. 

(2) Any physical change or change in the method of operation of a major stationary source that maintains its total 

source-wide emissions below the PAL level meets the requirements of this chapter and complies with the PAL permit if: 

(a) It is not a major modification for the PAL pollut· 

ant; 

(b) It does not have to be approved through Regulations .01-.03 of this chapter; and 

(c) It is not subject to Regulation .02G of this chapter. 

(3) Except as provided under §A(2) of this regulation, a 

major stationary source shall continue to comply with all ap· 

plicable federal and State requirements, emission !imita· 

tions, and work practice requirements that were established 

before the effective date of the PAL. 

B. Definitions. In this regulation, the following terms 

have the meanings indicated: 

(1) «Actual PAL" means, for a major stationary source, a 

PAL based on the baseline actual emissions of all emissions 

units at the source that emit or have the potential to emit the 

PAL pollutant, 

(2) "Allowable emissions" has the meaning stated in 

Regulation .01B(2) of this chapter, except that this definition 

is modified as follows: 

(a) The allowable emissions for any emissions unit 

shall be calculated considering any emission limitations 

that are enforceable as a practicable matter on an emissions 

unit's potential to emit; 

(b) An emissions unit's potential to emit shall be de· 

termined using the definition in Regulation .01B(21) of this 

chapter, except that the words "or eniorceabie as a practi· 

cable matter" shall be added after "federally enforceable", 

(3) "Continuous emissions monitoring system (CEMs)" 

means all of the equipment that may be required to meet the 

data acquisition and available requirements of this regula· 

tion, to sample, condition (if applicable), analyze, and pro· 

vide a record of emissions on a continuous basis. 

(4) "Continuous emissions rate monitoring system 

(CERMS)" means the total equipment required for determin. 

ing and recording the pollutant mass emissions rate (in 

terms of mass per unit of time). 

(5) "Continuous parameter monitoring system (CPMS)" means all of the equipment necessary to meet the data acquisition and availability requirements of this regulation to 

monitor process and control device operational parameters 

(for example, control device secondary uoltages and electric 

currents) and other information (for example, gas flow rate, 

oxygen or carbon dioxide concentrations), and to record aver· age operational parameter values on a continuous basis. 

(6) "Major emissions unit" means an emissions unit 

that emits or has the potential to emit: 

(a) 100 tons per year or more of the PAL pollutant in 

an attainment area,' or 

MARYLAND REGISTER, VOL 34, ISSUE 14 FRIDAY, JULY 6, 2007 
PROPOSED ACTION ON REGULATIONS 1319 

(b) The PAL pollutant in an amount that is equal to 

or greater than the major source threshold for the PAL pollutant. 

(7) "PAL effectiue date" means the date of issuance of a 

PAL permit or a revised PAL permit, except that the PAL effectiue date for an increased PAL is the date an emissions 

unit which is part of the PAL major modifICation becomes 

operational and begins to emit the PAL pollutant. 

(8) "PAL effectiue period" means the period beginning 

with the PAL effectiue date and ending 5 years later. 

(9) "PAL major modification" means any physical 

change in or changes in the method of operation of the PAL 

source that causes it to emit the PAL pollutant at a leuel 

equal to or greater than the PAL. 

(10) "PAL permit" means the permit issued by the Department that establishes a PAL for a major stationary 

source. (11) "PAL pollutant" means the pollutant for which the 

PAL is established. 

(12) "Plantwide applicability limit (PAL)" means an 

emissions limitation, expressed in tons per year, for a pollutant at a major stationary source, that is enforceable as a practicable matter and established source-wide according to 

Regulation .08B of this chapter. 

(13) "Predictiue emissions monitoring system (PEMS)" 

means all of the equipment necessary to monitor process and 

control deuice operational parameters (for example, control 

deuice secondary uoltages and electric currents) and other information (for example, gas flow rate, oxygen or carbon dioxide concentrations), and calculate and record the mass emissions rate (for example, pounds per hour) on a continuous 

basis. 

(14) "Significant emissions unit" means an emissions 

unit that emits or has the potential to emit a PAL pollutant 

in an amount that is equal to or greater than the significant 

leuel for the PAL pollutant, but less than the amount that 

would qualify the unit as a major emissions unit. 

(15) "Small emissions unit" means an emissions unit 

that emits or has the .potential to emit the PAL pollutant in an amount less than the significant leuel for that PAL pollutant, as defined in Regulation .0IB(26) of this chapter or in 

the Clean Air Act, whicheuer is lower. 

.08 Plantwide Applicability Limit (PAL) - Permits. 

A. Permit Application. 

(1) The owner or operator of a major stationary source 

may apply for a PAL permit by submitting an application to 

the Department that includes: 

(a) A list of all emissions units at the source designated as small, major, or significant based on their potential 

to emit; 

(b) Applicable State and federal requirements for 

each emissions unit; 

(c) The baseline actual emissions for each emissions 

unit with supporting calculations and documentation including emissions associated with startup, shutdown, and 

malfunctions; and 

(d) The method to be used to monitor each emissions 

unit. 

(2) The source shall include in the application calculations and procedures that are to be used to conuert emissions 

data to monthly emissions to enable calculation of 12-month 

rolling auerages. 

B. PAL Leuel. 

(1) The PAL leuel for a major stationary source shall be 

established as the sum of the baseline actual emissiolls of the 

PAL pollutant l'or each emissions unit at the source plus an 

amount equal to the applicable significant level for the PAL 

pollutant under Regulation .01B of this chapter or under the 

Clean Air Act, whicheuer is lower. 

(2) When establishing the actual PAL leuels for a PAL 

pollutant, only one consecutiue 24-month period shall be 

used to determine the baseline actual emissions for all existing emissions units. Howeuer, a different consecutiue 24· 

month period may be used for each. different PAL pollutant. 

(3) Emissions associated with units that were permanently shutdown after the 24-month period shall be subtracted from the PAL leuel. Emissions from units on which 

actual construction began after the 24-month period shall be 

added to the PAL leuel in an amount equal to the potential to 

emit of the units. 

(4) The Department shall specify a reduced PAL leuel, 

in tons per year, in the PAL permit to become effectiue on the 

future compliance date of any applicable federal or state 

regulatory requirement that the Department is aware of before issuance of the PAL permit. 

C. Issuance of a PAL Permit. 

(1) If the Department approues an application for a PAL 

permit, the PAL permit shall be issued for a period not to 

exceed 5 years from the PAL effectiue date. 

(2) The PAL permit shall include: 

(a) The PAL pollutant and the applicable source-wide 

emissions limitation in tons per year; 

(b) The effectiue date and expiration date of the PAL; 

(e) Specification that if a major stationary source 

owner or operator applies to renew a PAL in accordance with 

§G of this regulation before the end of the PAL effectiue period, then the PAL does not expire at the end of the PAL effectiue period but remains in effect until a reuised PAL permit is 

issued by the Department; 

(d) A requirement that emissions calculations for 

compliance purposes include emissions from startup, shutdowns, and malfunctions; 

(e) A requirement that, once the PAL expires, the ma- jor stationary source is subject to the requirements of §E of 

this regulation; 

(I) The calculation procedures that the major stationary source owner or operator shall use to conuert the monitoring system data to monthly emissions and annual emissions based on a 12-month rolling total for each month; 

(g) A requirement that the major stationary source 

owner or operator monitor all emissions units and retain 

records, in accordance with the provisions of Regulation 

.09A of this chapter, which may be retained in an electronic 

format; 

(h) A requirement to submit the reports required under Regulation .09A of this chapter by the required deadlines; and 

(i) Any other requirement that the Department deter· 

mines is necessary to implement and enforce the PAL. 

D. General Requirements. 

(1) The PAL shall impose an annual emission limitation in tons per year that is enforceable as a practical matter, 

for the entire major stationary source. 

(2) The PAL shall include emissions of only one pollutant. including quantifiable fugitiue emissions of that pollutant from all emissions units. 

(:j) For each month during the PAL effectiue period after 

the first 12 months of establishing a PAL, the major stationary source owner or operator shall show that the sum of the 

monthly emissions from each emissions unit under the PAL 

for the previous 12 consecutiue months is less than the PAL. 

For each month durillg the first 11 mOllths from the PAL efMARYLAND REGISTER, VOL. 34, ISSUE 14 FRIDAY, JULY 6, 2007 
1320 PROPOSED ACTION ON REGULAnONS 

fective date, the major static mary source owner or operator 

shall show that the sum of the preceding monthly emissions 

from the PAL effective date for each emissions unit under the 

PAL is less than the PAL. 

(4) A person who receives a PAL permit from the Department is subject to: 

(a) All applicable existing State and federal requirements;and 

(b) Any future State or federal requirements that apply to an emissions unit under an approved PAL. 

(5) During the PAL effective period, emission reductions 

of a PAL pollutant may not be creditable for use as ERCs 

unless the level of the PAL is reduced by the amount of the 

reduction and the reduction would be creditable in the absence of the PAL. 

(6) PALs for existing major stationary sources shall be 

established, renewed, or increased through a public participation procedure that is consistent with 40 CFR §§51.160 

and 51,161, The Department shall provide the public with 

notice of the proposed approval of a PAL permit and at least a 30·day period for submittal of public comment. All com- ments received by the Department shall be addressed before 

the Department takes final action on the permit, 

E. Expiration of a PAL. 

(l) Any PAL that is not renewed according to §G of this 

regulation shall expire at the end of the PAL effective period. 

(2) Within the time frame specified for PAL renewals, 

the major stationary source shall submit a proposed allowable emission limitation for each emissions unit (or each 

group of emissions units, if this distribution is more appropriate, as determined by the Department) by distributing the 

PAL allowable emissions for the major stationary source among each of the emissions units that existed under the 

PAL. If the PAL had not yet been adjusted for any applicable 

requirement that became effective during the PAL effective 

period, as required under §G of this regulation, the distribution shall be made as if the PAL had been adjusted. 

(3) The Department shall decide whether and how the 

PAL allowable emissions will be distributed and issue a re- vised permit incorporating allowable limits for each emissions unit, or each group of emissions units, as the Depart· 

ment determines is appropriate. 

(4) Each emissions unit shall comply with the allowable 

emission limitation on a 12-month rolling basis. The Depart. 

ment may approve the use of monitoring systems (for ex· ample, source testing or emission factors) other than CEMs, 

CERMs, PEMs, or CPMs to demonstrate compliance with 

the allowable emission limitation. 

(5) Until the Department issue.'l the revised permit in· 

corporating allowable limits for each emissions unit, or each 

group of emissions units, the source shall continue to comply 

with a source·wide, multi·unit emissions cap equivalent to 

the level of the PAL emission limitation. 

(6) Any physical change or change in the method of op· 

eration at the major stationary source is subject to the nonat· 

tainment major NSR requirements if the change meets the 

definition of a major modification. 

(7) The major stationary source owner or operator shall 

continue to comply with any State or federal applicable requirements (BACT, RAeT, NSPS, etc.) that may have ap· 

plied either during the PAL effective period or before the PAL 

effective period, except for those emission limitations that 

had been established purslLant to Regulation .02G of this 

chapter but were eliminated by the PAL in accordance with 

Regulation .07A(2)(c) of this chapter. 

F. Reopening a PAL Permit. 

(l) During the PAL effective period, the permit may be 

reopened to: 

(a) Correct any errors in setting the PAL or to reflect a 

more accurate determination of emissions used to establish 

the PAL; 

(b) Reduce the PAL if the source creates emission re- duction credits; or 

(c) Reflect a necessary increase in the PAL level. 

(2) The Department may reopen the PAL to: 

(a) Reflect a new federal or State requirement that 

would apply to an emissions unit after the effective date or 

for other reasons determined by the Department; 

(b) Reduce the PAL consistent with any other requirement that is enforceable as a practicable matter; and that the 

Department may impose on the major stationary source; or 

(c) Reduce the PAL if the Department determines that a reduction is necessary to avoid causing or contributing to: 

(i) A NAAQS or PSD increment violation; or 

Oi) An adverse impact on an air quality related 

value that has been identified for a Federal Class I Area by a 

federal land manager and for which information is avail· 

able to the general public. 

(3) Any adjustment to the PAL shall be made through 

the public participation procedures required when the PAL was first established. 

G. Renewal of a PAL. 

(1) A person who requests renewal of a PAL permit shall 

apply for the renewal not later than 6 months before the ex· isting PAL permit expiration date. If a person submits a 

complete application to renew the PAL within that time period, the PAL shall continue to be effective until a renewed 

permit is issued. 

(2) The application to renew the PAL shall contain the 

following: 

(a) The information required in §A of this regulation; 

(b) A proposed PAL level; 

(c) The sum of potential to emit of all emissions units 

under the PAL and supporting documentation; and 

(d) Any other information the owner or operator 

wishes the Department to consider in determining the appropriate leuel for renewing the PAL. 

(3) Adju.stmen.ts at Renewal. 

(a) If the sum of the emissions from each emissions 

unit within the PAL is 80 percent or less than the PAL, a 

renewed PAL permit may be issued at the same level. 

(b) The Department may set the PAL at a level that it 

determines to be more representatiue of the source's baseline 

actual emissions, or that it determines to be appropriate can· 

sidering air quality needs, advances in control technology, 

anticipated economic growth in the area, desire to reward or 

encourage the source's uoluntary emissions reductions, or other factors as specifically identified by the Department in 

its written rationale. 

(c) If the potential to emit of the major stationary source is less than the PAL, the Department shall adjust the 

PAL to a level not greater than the potential to emit of the 

source, and the Department may not approve a renewed PAL 

level higher than the current PAL unless the major station· 

ary source has complied with the provisions of Regulation 

.09A of this chapter. 

(4) If a compliance date for a State or federal require' 

ment that applies to the PAL source occurs during the PAL 

effective period, and if the Department has not already adjusted for this requirement, that PAL shall be adjusted at the 

time of PAL renewal or Title V permit renewal, whichever occurs first. 

MARYLAND REGISTER, VOL. 34, ISSUE 14 FRIDAY, JULY 6, 2007 
PROPOSED ACTION ON REGULATIONS 1321 

(5) The Department shall provide both the proposed 

PAL level and a written rationale for the proposed PAL level 

to the public for review and comment. During the public review, any person may propose a PAL level for the source for 

consideration by the Department. 

H. Increasing a PAL. 

(1) Requirements for Increasing a PAL. 

(a) A PAL may be increased during the PAL effective 

period if the requirements of this subsection are met. 

(b) The owner or operator of the major stationary 

source shall submit a complete application to request an increase in the PAL limit for a PAL major modification. The 

application shall identify the emissions units contributing to 

the increase in emissions so as to cause the major stationary 

source's emissions to equal or exceed its PAL. 

(c) As part of this application, the major stationary 

source owner or operator shall demonstrate that the sum of 

the baseline actual emissions of the small emissions units, 

plus the sum of the baseline actual emissions of the significant and major emissions units assuming application of 

BACT equivalent controls, plus the sum of the allowable 

emissions of the new or modified emissions units, exceeds the 

PAL. The level of control that would result from BACT 

equivalent controls on each significant or major emissions 

unit shall be determined by conducting a new BACT analysis at the time the application is submitted, unless the emissions unit is currently required to comply with a BACT or 

LAER requirement that was established within the preceding 10 years. In this case, the assumed control level for that 

emissions unit shall be equal to the level of BACT or LAER 

with which that emissions unit shall currently comply. 

(d) The owner or operator shall obtain a major NSR 

permit for all emissions units identified in this subsection 

regardless of the magnitude of the emissions increase resulting from them (that is, no significant levels apply). These 

emissions units shall comply with any emissions requirements resulting from the nonattainment major NSR program processed (for example, LAERJ, even though they have 

also become subject to the PAL or continue to be subject to the 

PAL. 

(e) The PAL permit shall require that the increased 

PAL level be effective on the day any emissio.'lS unit that is 

part of the PAL major modification becomes operational and 

begins to emit the PAL pollutant. 

(2) The Department shall calculate the new PAL as the 

sum of the allowable emissions for each modifted or new 

emissions unit. plus the sum of the baseline actual emissions 

of the significant and major emissions units (assuming application of BACT equivalent controls as determined in accordance with §H(1)(c) of this regulation), plus the sum of 

the baseline actual emissions of the small emissions units. 

(3) The PAL permit shall be revised to reflect the increased PAL level pursuant to the public notice requirements 

of §D(6) of this regulation. 

.09 Plantwide Applicability Limit (PAL) - Monitoring. Record Keeping. and Reporting. 

A Monitoring and Record Keeping Requirements. 

(1) Each PAL permit shall contain enforceable requirements for the mOltitoring system that accurately determine 

plantwide emissions of the PAL pollutant in terms of mass 

per unit of time. Any monitoring system authorized for use in 

the PAL permit shall be based on sound science and meet 

generally acceptable scientific procedures for data quality 

and manipulation. Additionally, the information generated 

by the system shall meet the minimum legal requirements 

for admissibility in a judicial proceeding to enforce the PAL 

permit. 

(2) The PAL monitoring system shall employ one or 

more of the four general monitoring approaches meeting the 

minimum requirements set forth in §A(5) of this regulation 

and shall be approved by the Department. 

(3) Notwithstanding §A(2) of this regulation, an alternative monitoring approach may be used that meets the requirements of §A(I) of this regulation if approved by the Department. 

(4) Failure to use a monitoring system that meets the 

req uirements of this section renders the PAL invalid. 

(5) The following are acceptable general monitoring approaches when conducted in accordance with the minimum 

performance requirements in §A(6) - (12) of this regulation: 

(a) Mass balance calculations for activities using 

coatings or solvents; 

(b) CEMs; 

(c) CPMS or PEMS; and 

(d) Emission factors. , 

(6) Mass Balance Calculations. An owner or operator 

using mass balance calculations to monitor PAL pollutant 

emissions from activities using coatings or solvents shall 

meet the following requirements: 

(a) Provide a demonstrated means of validating the 

published content of the PAL pollutant that is contained in 

or created by all materials used in or at the emissions unit; 

(b) Assume that the emissions unit emits all of the 

PAL pollutant that is contained in or created by any raw material or fuel used in or at the emissions unit if it cannot otherwise be accounted for in the process; and 

(c) Where the vendor of a material or fuel which is 

used in or at the emissions unit publishes a range of pollutant content from that material, the owner or operator shall 

use the highest value of the range to calculate the PAL pollutant emissions unless the Department determines there is site 

specific data or a site specific monitoring program to support 

another content within the range. 

(7) CEMs. An owner or operator using CEMs to monitor 

PAL pollutant emissions shall meet the following requireiiwnts: 

(a) CEMs shall comply with the applicable performance specifications found in 40 CFR Part 00, Appendix B; 

and 

(b) CEMs shall sample, analyze, and record data at 

least every 15 minutes while the emissions unit is operating. 

(8) CPMS or PEMS. An owner or operator using CPMS 

or PEMS to monitor PAL pollutant emissions shall meet the 

following requirements: 

(a) The CPMS or the PEMS shall be based on current 

site specific data demonstrating a correlation between the 

monitored parameters and PAL pollutant emissions across 

the range of operation of the emissions unit; and 

(b) Each CPMS or PEMS shall sample, analyze, and 

record data at least every 15 minutes, or at another less frequent interval approved the Department, while the emissions 

unit is operating. 

(9) Emission Factors. An owner or operator using emission factors to monitor PAL pollutant emissions shall meet 

the following requirements: 

(a) All emission factors shall be adjusted, if appropriate, to account for the degree of uncertainty or limitations in 

the factors development; 

(b) The emissiolls unit shall operate within the designated range of use for the emission factor, if applicable; and 

MARYLAND REGISTER, VOL. 34, Issue 14 FRIDAY, JULY 6, 2007 
1322 PROPOSED ACTION ON REGULA nONS 

(c) If technically practicable, the owner or operator of 

a significant emissions unit that relies on an emission factor 

to calculate PAL pollutant emissions shall conduct validation testing to determine a site specific emission factor 

within 6 months of PAL permit issuance, unless the Department determines that testing is not required. 

(10) A source owner or operator shall record and report 

maximum potential emissions without considering enforceable emission limitations or operational restrictions for an 

emissions unit during any period of timjl that there is no 

monitoring data, unless another method for determining 

emissions during this period is specified in the PAL permit. . (11) Notwithstanding the requirements in §A(6) - (10) 

of this regulation, when an owner or operator of an emissions unit cannot demonstrate a correlation between the 

monitored parameters and the PAL pollutant emissions rate 

at all operating points of the emissions unit, the Department 

shall, at the time of permit issuance: 

(a) Establish default values for determining compli- ance with the PAL based on the highest potential emission 

reasonably estimated at the operating point; or (b) Determine that operation of the emissions unit 

during operating conditions when there is no correlation between monitored parameters and the PAL pollutant emissions is a violation of the PAL. 

(12) Revalidation. All data used to establish the PAL 

pollutant shall be revalidated through performance testing or other scientifically valid means approved by the Department. This testing shall occur at least once every 6 years after issuance of the PAL. 

(13) The PAL permit shall require an owner or operator 

to retain a copy of all records necessary to determine compliance with any requirement of Regulations .07 - .09 of this 

chapter and of the PAL. including a determination of each 

emissions unit's 12·month rolling total emissions for 6 years 

from the date of that record. 

(14) The PAL permit shall require an owner or operator 

to retain a copy of the following records for the duration of 

the PAL effective period plus 6 years: ) 

(a) A copy of the PAL permit application and any application for revisions to the PAL; and . (0) Each annual certification of compliance pursuant 

to 1itle Vand the data reUed on in certifying the compliance. 

B. Reporting Requirements. 

(1) A semiannual report shall be submitted to the Department within 30 days of the end of each reporting period, 

beginning 6 months after the PAL effective date. This report 

shall contain the following information: 

(a) The identification of the owner and operator and 

the permit number; 

(b) Total annual emissions in tons per year based on a 

12-month rolling total for each month in the reporting period 

recorded pursuant to §A( 13) of this regulation; 

(c) All data relied upon including any quality assurance or quality control data in calculating the monthly and 

annual PAL pollutant emissions; 

(d) A list of any emissions units modif£ed or added to 

the major stationary source during the preceding 6-month 

period; 

(e) The number. duration, and cause of any deviation 

or monitoring malfunction, . other than the time associated 

with zero and span calibration checks, and any corrective actions taken; 

. m A notification of a shutdown of any monitoring 

system, lI;hetller the shutdown was permanent or temporary, 

the reason for the shutdown, the anticipated date that the 

monitoring system will be fully operational or replaced with 

another monitoring system, and whether the emissions unit 

monitored by the system continued to operate and the calculation of the emissions of the pollutant or the number deter· 

mined by methods included in the permit; and 

(g) A signed statement by the responsible official cer- tifying the truth, accuracy, and completeness of the information provided in the report. 

(2) The major stationary source owner or operator shall 

promptly submit reports of any deviation or exceedances of 

the PAL requirements including periods when no monitoring 

is available. A report submitted pursuant to COMAR 

26.11.0a.06Cf7J(a){i) shall satisfy this reporting requirement. The deviation reports shall be submitted within the 

time limits prescribed in the source's TItle V permit. The report shall contain the following information: 

(a) The identification of the owner or operator and the 

permit number; 

(b) The PAL requirement that experienced the deviation or that was exceeded; 

(c) The emissions resulting from the deviation or the 

exceeciances; and . 

(d) A signed statement by the responsible official cer- tifying the truth-accuracy, and completeness of the information provided in the report. 

(3) The owner or operator shall submit to the reviewing 

authority the results of any revalidation test or method 

within 3 months after completion of the test method. 

SHARI T. WILSON 

Secretary of the Environment 

Subtitle 11 AIR QUALITY 

Clean Air Interstate Rule 

tlwrity: EnuVonment Article, §fJ.101. 1·404, fz.JOl - 2· 

1l·301 - 2·303, 10.102, and 10-103. 

AMOtOl..I CO<U of Maryu.nd 

Notice of Proposed Action 

{07-l64-PI 

the Environment pro sea to adopt new Regulations .01 .08 under a new chapter. COMAR 

28.11.28 Clean Air terstate Rule 

State ent of 

The purpose of this a . n is adopt the U.S. Environmental Protection Agency's P.) Clean Air Interstate Rule 

(CAIR) model rule for the re etlon of NO .. and 802 emissions from electric generati g ·ta. The reductions. under 

the model rule. are Rchie d th ugh a cap and trade program that replaces the 'sting N Reduction and Trading 

Program requiremen under CO R 26.11.29 and .30 

(NO" SIP Call). 

This action will submitted to the 

the State Imple ntation Plan. 

Background. 

Beginning' 2009, the CAIR will replace th un-ent NO .. 

SIP Call C MAR 26.11.29 and .30 for electric enerating 

units tha participated in that NO. Allowance Tr ing Pro· 

gram. del' the CAIR, affected electric generati units 

must rther reduce NO. emissions and reduce emissl ns of 

SO eyond those levels required by the federal Add in 

Pl' gram. Under CAIR, affected units will participate in 

p and trade program similar to the NO. SIP Call to reMARYLAND REGISTER. VOL. 34, ISSUE 14 FRIDAY, JULY 6,2007